The Board of Control for Cricket in India has resorted to cost cutting measures to overcome the revenue deficit, but salaries of the players and officials have been spared. But the real threat lies ahead if the Indian Premier League fails to take place this year.
Cancellation of the IPL alone would mean a hit of ₹ 4,000 crore to BCCI’s annual earnings. That’s the reason the board has not called off the league despite all challenges.
While there remains the hope for the IPL stakeholders that league will take place later this year, franchisee are directly affected by the cost-cutting measures considered by the BCCI. It has reportedly been decided to slash the IPL prize money by 50%.
According to a Star of Mysore report, the IPL winners’ cheque is being reduced from ₹ 20 crore to ₹ 10 crore. Similarly, the other finalists will get ₹ 6.25 crore instead of ₹ 12.5 crore last year. The other two qualifiers purse too will be slashed to ₹ 4.375 crore.
The board has reportedly informed the franchisees. “The financial rewards have been reworked as a part of the cost cutting measures. The champions will get Rs.10 crore instead of Rs.20 crore. The runners-up will get Rs.6.25 crore from earlier Rs.12.5 crore,” read the circulation.
State Association hosting IPL games will get Rs.1 crore each with franchises and BCCI contributing Rs.50 lakh each.
Among other austerity measures, the mid-level employees will not get business class tickets for air travel in Asian countries where the flying time is less than eight hours.
BCCI treasurer Arun Dhumal has confirmed that the board has done cost-cutting as there have been losses following the cancellation of events. He also said that there has been no pay cuts or lay-offs.
“The BCCI has done some cost control after the elected office-bearers took charge last October. The process started before the pandemic. But there has been no pay cut or lay-off as of now. We have cut cost on other fronts like travel, hospitality, etc.,” Dhumal told The New Indian Express.
The board, however, can reassess the situation if the IPL has to be cancelled, which would result in an economic impact of ₹ 4,000 crore.
The BCCI is closely monitoring the COVID-19 situation to take a call of players’ training despite the Government nod to open sports facilities for practice and competitions sans spectators.
The BCCI is eyeing to conduct the IPL 13 during an October-November window, to be created due to the postponement of the ICC T20 World Cup in Australia. That will also clear the path for foreign players to join the IPL party.